Christian Credit Counselors Blog

Simple Fixes for Runaway Credit Card Debt

Despite the best of intentions, it is easy to fall quickly into credit card debt. When you struggle to pay just the minimum payment on your credit card bills, take logical steps to untangle the mess with Christian credit counseling. According to an article by businessinsider.com, the average American family has about $15,000 worth of credit card debt. Ignoring credit card debt results in more credit card debt. By facing debt with helpful Christian credit counselors, you can master your personal finances. Experts say there are several clues that let you know your debt is out of control. Debt counselors will help you with simple fixes.

Getting out of Debt Denial

Dodging bill collectors is one sign you are in denial about your credit card debt. With Christian credit counseling, you face your issues whether you have a spending problem, a job layoff or medical issues that are beyond your control. A credit counselor encourages you to list your debt and set priorities. By signing up for a debt management plan, you get out of debt faster.

Setting a Payoff deadline

By enrolling in a debt management plan at a Christian credit counseling agency, you find out precisely when you will pay off your credit card debt. According to businessinsider.com, a lack of clarity with regard to debt payoff creates stress. If you try to pay off debt on your own, your payoff date could be 20 years away. However, people are often surprised to learn they can pay off debt 80 percent faster with the right debt management plan.

Paying off instead of Transferring

Another common mistake consumers make is to transfer their debt from one card to another. Balance transfers don’t work for most people because the zero percent introductory APR doesn’t last. You will likely feel tempted to run up your debt on the old card after transferring previous debt.

Other personal finance mistakes include sacrificing your savings plans in order to pay off debt. When you get a tax return, windfall or other monetary gift, put it aside in a savings account. You will prevent runaway debt because you have cash to pay for financial emergencies. Meanwhile, you can continue to pay off old credit card debt by making one monthly payment to creditors. Debt consolidation often alleviates the anxious feelings related to runaway debt.

At Christian Credit Counselors, we strive to help our clients by giving them positive solutions for their runaway credit card debt. Talk to us about strategies for paying off debt and improving your credit score.

Do you want to know more about debt and how you can make smart financial decisions now that will help you secure a more prosperous financial future? Sign up for our newsletter for monthly money tips.